Are we entering an economic downturn? Who really knows. There are quite a few signs that we are and that is scary. Not only for individuals, but for businesses as well, and it can be tough to figure out how to get through it.
Jamie, PPM host and CEO of JEBCommerce, has learned a lot from previous downturns and a multitude of other events with far-reaching impacts. In today's episode he discusses several reasons how, during times like these, Affiliate Marketing is a top performer and why it should get more investment, not less.
Jamie talks about how the affiliate channel provides:
Security: You only incur costs after you see revenue
Audience flexibility: Affiliates are constantly stretching, innovating, flexing, and pivoting to reach new markets and acquire new customers. You literally have thousands of shots and getting it right and finding the new markets that adjust.
Investment flexibility: Many companies during the pandemic saw a huge increase in their demand but didn’t plan for what would happen when things started opening up. Now they are experiencing pain because of that growth which wasn’t necessarily sustainable. Affiliates allow for ebb and flow with demand.
Float: Cashflow is king and affiliates allow you to keep the cash until your invoice comes in. That can be huge.
Profit and margins: The affiliate channel has the ability to quickly adapt to keep you profitable.
Liquidation: Coupon affiliates have the ability to move clearance products quickly and at a higher profit margin than other options. Check out our blog post on the topic: Coupon Affiliate Marketing More Important as Economy Swings Down
Give this episode a listen and let us know what you think!
Also, if you need help developing your strategy, we have a free PDF that outlines strategies to thrive in uncertain times. Do yourself (and business) a favor and check it out today.